China Stocks are Plummeting in the US

By That's, July 28, 2021

0 0

The Nasdaq Golden Dragon China Index has dropped 15% in the last two trading days.

The index follows the 98 biggest US-listed Chinese stocks – which have fallen 45% since a record high in February 2020, according to BBC.

Investor confidence has apparently faded since Beijing cracked down on tech giants and education firms based in China.

The government recently administered new changes to the education sector, stating that “Curriculum subject-tutoring institutions are not allowed to go public for financing; listed companies should not invest in the institutions, and foreign capital is barred from such institutions.”

In addition, Chinese regulators have also clamped down on one of the country’s most popular waimai options – Meituan. China’s State Administration for Marketing Regulation recently issued new rules to improve the conditions of waimai drivers.

The marketing regulator called for Meituan to pay drivers a minimum wage, be given better training and have their workload eased, as cited by BBC.

On Tuesday, Meituan shares dropped a record 17.6% in Hong Kong markets – in addition to a 14% fall on Monday.

As for China-based education sector US-listed stocks, USD770 billion has been swiped off in the last five months.

China’s regulators have been more focused on US-listed Chinese companies as of late. Alibaba, which was listed on NASDAQ in 2014, was given a USD2.8 billion fine for abuse of market position.

[Cover image via Pixabay]

more news

See Where Heavy Rain is Expected in China Over Mid-Autumn Break

Be sure to check the weather if you plan on traveling during the mid-autumn festival.

A Seller's Story on Building a Fake Goods Empire in China

We're not just talking Louis Vuitton handbags, Armani suits and Yeezy boots.

1 Dead After Gunman Goes Berserk in China

​On September 13, a lawyer was killed in Wuhan by a gun-wielding man over a debt litigation suit.

Become a Better Professional by Being a Student Again in China

It’s back-to-school time again, and among the ranks of new university students are working professionals.

Topgolf to Open Its Largest Venue in China Next Year

​Topgolf recently announced that a new venue in Chengdu slated to open in 2022 will be the largest Topgolf venue in the world.

Here's What We Know About the New Beijing Stock Exchange

The announcement comes at a time when US-listed Chinese companies have come under scrutiny by investors.

0 User Comments

In Case You Missed It…

We're on WeChat!

Scan our QR Code at right or follow us at thatsonline for events, guides, giveaways and much more!

7 Days in China With thatsmags.com

Weekly updates to your email inbox every Wednesday

Subscribe

Download previous issues

Never miss an issue of That's Magazines!

Visit the archives